Bernanke raises alarm flags on US economy

Source: PressTV
http://www.presstv.ir/detail.aspx?id=122777&sectionid=3510203

US Federal Reserve chief says the US economic woes are far from over amid persistent joblessness and home foreclosures.

Chairman of the US Central Bank Ben Bernanke has described the high foreclosures and unemployment figures as the biggest problem for the American people, noting that foreclosures keep climbing and hiring remains weak.

He also said economic growth would not be strong enough to cut down on the nearly 10 percent unemployment figure.

The economy appears to recover but it is "far from being out of the woods," he told the Dallas Regional Chamber business group on Wednesday.

Bernanke called on the US congress and administration to work together to curb the record-high budget deficits.

He also warned that America's aging population is posing fiscal challenges for the country.

"Unless we as a nation demonstrate a strong commitment to fiscal responsibility, in the longer run we will have neither financial stability nor healthy economic growth," Bernanke added.

US investors have expressed concerns about the possible apathy of foreign nations to buy federal bonds, which could lead to more US debt.

The US national debt will top $13 trillion in 2019 and reach $22 trillion by 2020, US media report.